Formula to Reduce Short-Term Spending and Pursue Long-Term Success Finally Revealed
Latest studies and market research indicates that Southeast Asian Markets are expanding and business opportunities in the region are on the rise. As per the data collected from the Singapore Economic Board (SEB), there is a steady increase in the number of new businesses emerging in this region which suggests that people living in this region are quite familiar with this health trend and they do not miss a chance to kick-start a new business in the region. The easy availability of business loans and funds is another important factor that adds to the spirit of entrepreneurship in the Southeast Asian Markets.
Despite these attractions and benefits, it is very important for the SMEs (Small and Medium-sized Enterprises) to keep the costs low in order to sustain operations. This is the only way the new businesses will be able to survive and grow in this region. But, how to keep the costs low and still manage to pursue long-term goals? Well, here are the four ways that businesses can keep a tap on their short-term costs and still pursue long-term goals.
- Hire Smartly
Hiring smartly does not mean that you should start looking for smart people/staff/employees. It refers to hiring the right person for the right job at the right time. This practice can keep the costs low; this is because you will not be required to provide extensive training to the wrong person, you will also be able to save time and money by not going through the process of expensive recruitment all over again. The best way to go about finding the right candidate for the right job is to include the psychological and psychometric evaluations in the recruitment process. This can help you take a closer look at the candidate’s psyche and mental health. You need to keep in mind that there is no one-size-fits-all solution, a candidate who is not the most suitable person for a particular task can be a perfect fit for another.
- Establish Good Relationships With Partners
You should always try to treat your business partners with dignity and respect; there are a number of advantages that you can gain from forging strong bonds with your business partners. You will not only be able to take your current business to newer levels, you will also be able to open up new windows of opportunities with your trusted business partners.
Honesty and trust are the two most important things to keep in mind while grooming your relationship with a business partner. It is only when both of you are able to remain transparent and honest with each other, that you will be able to benefit from each other and take your business to the new heights.
- Separate The Wheat from the Chaff
Most of the SMEs are often faced with limited resources; therefore, it is very important for them to separate the wheat from the chaff. This means that they have to identify the underperformers in their team and try to re-adjust them in order to take full advantage of their true potential, this way they will be able to be more effective for the organization. This way the SMEs can save costs from lost opportunities and gain maximum advantage from the same pool of employees. This approach can result in improving the morale and welfare ratings of the staff ensuring more productive team in the longer run.
- Future-proving the Organization
No business is without risks, if somehow you are able to minimize these risks, you can strengthen and expand your business easily. The best way to do is to take care of your public liability and personal accidental liability, this will free up more time and resources which you can utilize to strengthen and expand your business. You can rely on a business insurance to take care of all your business worries and liabilities.
Keep all these points in mind while taking a plunge into starting up a new SME business or expanding an existing one.
The article is contributed by Barron, a veteran value investor. For the most part, he spends his time unearthing companies through value analysing them.
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